It’s not that I am clairvoyant, but it’s not necessary to be one to predict what’s around the corner in terms of HR and organisational trends. As we enter a new year, I’m predicting the HR and work trends for 2025.
This year, employees will push back.
Trend number one: Employee churn will be driven by different generational needs
One of the 4 worrying signals that I correctly predicted for 2024 was the redundancy. Last year, companies struggling to turn a profit chose to cut their overheads to show a better balance to their shareholders. It is not the most innovative option.
In 2025 I predict that new forces will cause employee turnover.
Gen X is approaching its 60s. Many Gen Xers may need or want to continue working, but they can also demand greater flexibility, better work culture and meaningful jobs before retiring. If they have an option, they won’t stay with a company who doesn’t offer any of these things. Life is too short.
Gen Z is also approaching its late 20s. Many Gen Zers are now capable of making demands. They want to make a change. Some haven’t entered the workforce yet, while others are considering management positions. The new UK legislation will support their high expectations. They are not loyal if someone else offers a job that is meaningful, a better work-life equilibrium, and a more progressive approach to technology. They’ll be gone.
Tensions between employers and employees will increase.
I can sense the frustration of some business leaders about the upcoming legislative changes. I am particularly concerned about those changes that will increase the cost of hiring people and require updating practices to reflect new employee rights. I predict that there will be more tensions between senior management and junior employees.
Employment Rights Bill contains plans to give new employees more protection, increase their rights to request flexibility, raise the minimum wages, limit zero-hours contracts and provide them with day-one parental leave rights. These changes could make business leaders resentful of their junior employees, while junior employees might feel emboldened to question their bosses.
The third trend is that organisations will feel the negative effects of poorly thought out technology
AI has been a hot topic in many businesses, mostly because of the potential to reduce costs by using technology instead of people. Under pressure from investors to make profits (or at least the appearance of profit), companies are increasingly claiming technology can perform tasks that people do.
Currently, very few business leaders understand the best way to use AI. The 21 st century AI is being embraced with a 20 th century mindset, which views people as cogs that can be easily replaced by machines.
By 2025, many companies will realize that the technology they have invested in hasn’t met their expectations. It hasn’t reduced workload, in fact, it has increased it, and it hasn’t saved them any money over time. In order to overcome the shortcomings of AI, many companies will hire more people.
The fourth trend is that virtual living and fatigue from work will lead to informal face-toface arrangements
Final prediction: I believe that people will find ways to collaborate with clients and colleagues in person, rather than using online tools and meetings.
It does not mean that employees will rush back to work (even though they would love it!). They will instead find less formal places to work, or meet in the office, but then retreat to a nearby coffee shop, hotel lobby, or co-working space.
Employees will continue their quiet resistance to the trend of demanding “3 days in office, 2 at home” or an equivalent. They will meet in person, on their terms. This will placate their bosses without submitting to the old-fashioned idea of office working from 9-5.
What can you do to help?
In a desperate effort to “get back to the normal”, many 2024 company leaders have tried to return to a style of command and control leadership. This year, employees will rebel, either due to the new protections provided by law, or in subtle, quiet ways that appear like compliance but are actually rebellion.
Our job as HR professionals is to prevent tensions between top and bottom in our organizations. People are forced to work around bad rules when they face strict rules.
People are forced to work around diktats that were poorly conceived by imposing strict rules.
1. Double down on your organisation’s mission, purpose, CSR and good governance
Call out policies and behaviours that undermine stated values so that Gen X employees and Gen Z can find the healthy corporate culture and purpose they seek.
2. Your senior leaders will benefit from coaching or training in personal growth.
Help seniors confront their prejudices and dispel outdated beliefs about their leadership and employee productivity. Senior and junior employees need to work together more than ever before, listening and learning from one another and finding clever solutions.
3. AI and other New Technology: Learn more
It is not the IT department’s responsibility. You can read articles, listen to podcasts and take courses. Learn about how artificial Intelligence is changing the world. Engage in conversations in your organization to gain knowledge of the interaction between humans and new technology.
4. The office can be made to feel more like home
They don’t like to stare at a screen all day, at work or at home. They don’t waste time on face-to face meetings when a virtual chat could have done the job, or on Teams meetings which should have been held face-to face.
You can get ideas from your employees and the facilities team to create spaces that people want.
